Apple 2.0

Covering the business that Steve Jobs built

Survey: Apple poised for gains in China

March 29, 2011: 2:22 PM ET

Nokia may be most vulnerable as Chinese cellphone owners upgrade to smartphones

Source: Alphawise/Morgan Stanley

There's good news for Apple (AAPL) in the results of an Alphawise/Morgan Stanley survey released Tuesday.

The survey, conducted among a sample of 2,029 Chinese mobile phone users in February and March, found demand for smartphones to be surprisingly strong. 88% of respondents said they expected the next phone they bought would be a smartphone. And 30% of those who planned to buy a 3G phone said they expected to buy an iPhone, even at its current price. If price were not a consideration, that number would jump to 53%, according to the survey.

Nokia (NOK), currently the vendor in China with the largest 3G market share, is also the one with the most to lose.

Below, a chart of the features respondents said they cared most about, which according to Morgan Stanley's analysis will shift the balance in Apple's favor as Internet use increases.

Also on

[Follow Philip Elmer-DeWitt on Twitter @philiped]

Join the Conversation
About This Author
Philip Elmer-Dewitt
Philip Elmer-DeWitt
Editor, Apple 2.0, Fortune

Philip Elmer-DeWitt has been following Apple since 1982, first for Time Magazine, and now on the Web for

Email | @philiped | RSS
Current Issue
  • Give the gift of Fortune
  • Get the Fortune app
  • Subscribe
Powered by VIP.